Chicago based Cboe BZX Exchange (“Cboe”) has withdrawn a proposed rule change to securities legislation, that if approved, would pave the way for a Bitcoin ETF.
Working closely with New York investment management firm and ETF and mutual fund provider, Van Eck, and blockchain software development and financial services company SolidX, Cboe has withdrawn a submission to the United States Securities Exchange Commission which may have allowed a Bitcoin ETF product to be offered on the exchange.
In a notice published on Wednesday, January 23, 2019, US Deputy Secretary, Eduardo Aleman indicated the proposed rule change had been withdrawn the previous day. Aleman did not cite any reason for the withdrawal. Cboe first issued the request to amend on July 2, 2018 and a decision had been delayed several times with the final deadline looming on February 27, 2019. Speculation has been that the government shut down forced Cboe and Van Eck to withdraw the change, rather than risk having the final deadline pass with no decision.
In a CNBC interview, Van Eck Chief Executive Officer, Jan van Eck said the proposal would be resubmitted at a later date and that the partial government shutdown was delaying the ongoing discussions between Cboe, Van Eck and the SEC. “We will refile when the SEC gets going again.” he stated.